THE ROLE OF PRIVATE EQUITY VS VENTURE CAPITAL — “I like to draw a very clear li

THE ROLE OF PRIVATE EQUITY VS VENTURE CAPITAL

— “I like to draw a very clear line between venture capital and everything else. Private equity is just another form of money management. You are shuffling the existing pieces of paper around. If you make money, someone else loses. To do it well is exciting and useful for your clients. From society’s point of view, you don’t add a lot of value.

Venture capital is completely different. Venture capital facilitates and expands new ideas. Innovation, change, and all the things that we will need to deal with present problems and future progress. You need as many innovations s you can get, and venture capital does that. And American venture capital has done very well indeed for many years.” —